Governments of all stripes have failed on energy, according to a new survey.
A poll of nearly 1,000 bosses by the Institute of Directors found that seven in 10 thought Labour, Coalition and Conservative administrations had all failed to make energy available at a reasonable cost.
The damning report concluded successive governments since the beginning of the century had fallen short of ensuring the UK would have the power it needs.
Dan Lewis, senior infrastructure policy adviser at the IoD said: “Since the early 2000s, government of all stripes have focussed on increasing use of renewable energy in order to reduce carbon emissions. Cutting CO2 is overwhelmingly supported by business, but politicians have underplayed the other two crucial aims of energy policy, delivering secure and affordable power. Following the creation of the new business and energy department, now is the ideal moment for the Government to reconsider the direction of travel.
“Renewables are a significant, and growing, source of energy. The UK has the world’s highest offshore wind capacity, with much more expected. But technology based on the weather doesn’t work all of the time, so the UK needs a mix of renewables, nuclear and the cleanest hydrocarbons.
“Government policy at the moment is creating all sorts of bizarre outcomes. Instead of accelerating moves to safely frack for gas and oil in the UK, we are importing coal and oil from Russia and gas and oil from Norway, with the extra costs and emissions that involves. Instead of building cleaner gas plants to meet demand when renewables can’t, the Government has been subsidising more polluting diesel-fired plants.
“The IoD backs nuclear as a reliable source of low-carbon energy, but each project has to make economic sense. Hinkley Point C would generate reliable power for 5 million homes, but given the costs, the Government is right to take one final look before signing off on the deal.”
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